I've "solved the problem" for my own Calibre/Kobo. I noted down the title of every book on my e-reader that had a small cover, deleted them from the Kobo, then used Polish Books. (I also used trim a lot.) Then I retransferred all those books to my Kobo.
Polish doesn't change the cover size (there's a plug-in for that) but it does force the first page to "become" the cover, and the first page always has a full sized image. I've not noticed any blurriness either.
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